The Significance of Strategic Management and Stakeholder Engagement
The organizations face changes on a daily basis, like the restructuring of the company or launching a new service or a product. However, if the organizations do not address such changes in a highly careful manner, the result will be chaos. Therefore, strategic change management helps the organizations in making the necessary changes, responsibly and carefully. Strategic change management is referred to as the procedure of management of change in a thoughtful and structured manner so that all of the organizational missions, objectives, and goals are met, effectively. For organizations, change is essential in order to continue to exceed and meet the competition from its rivals. For example, permanent markers are the only product offered by Mary’s Markers company, whereas, Wally’s Writing Utensils – the main competitor of Mary Marker may be selling both dry-erase and permanent markets. Thereby, in order to remain competitive with Wally Writing, Mary’s organization may require to go through a change. For the management of a procedure of change, there are different models. In understanding strategic change management, two of the renowned models are the Change Model of Kurt Lewin and the Change Model of John Kotter.
In the success of any type of business change, one of the crucial factors is stakeholder engagement especially with respect to transformations in organizations for which a significant cultural change may be required. Stakeholder engagement is highly important with respect to such transformations, as failures may lead if there are insufficient adoption and acceptance of the new processes due to the ineffective stakeholders’ engagement. For example, stakeholders’ engagement helps in addressing and assessing how the individuals may get affected by the people. One of the most common failures is ‘hiding issues under the carpet with a broom’; however, an opportunity of increasing the stakeholder engagement is often presented by these issues. Similarly, stakeholder engagement is highly required in early communication as everyone is informed who is going to be affected by the changes and how much. Thereby, stakeholder engagement is a necessity for any process of change.